 | | | |
ON CEO PRIORITIES
Why successful leaders dig deep on identity and purpose
| | | | | | | | | | | |
| | | | | | | | | | | When do we execute our plans? | | | | | | |
| | | “Purpose and identity are fuel for performance, and they’ve only gotten more important in an era of nonstop change.” | | | | |
| We’ve seen this same kind of widespread shared vision play out at successful hospital systems where all employees—not just the doctors and nurses—feel they are healing and caring for patients. When hospital leaders have a vision of patient care that is integrative, employee experience improves, as does customer experience.
These are examples of how the “who” and the “why” combine to give a strong sense of organizational identity. Identities, by their nature, are not partial; they are holistic. They don’t apply to only 25 percent or 50 percent of employees. It’s 100 percent or nothing.
To spread their vision, leaders can spotlight people who are living the goal successfully. Senior leaders can reach out to those on the front line and say, “I heard you did this. Good stuff, keep it going, and thank you for setting an example.” Leaders can also teach. They can say, “Look, we’re continuing to get better at this. We keep getting closer and closer, but it’s the striving to be great that makes us great.” If they emphasize improvement, as well as performance, people will be more motivated to stretch and strive.
Finally, leaders can serve as role models for this approach themselves. They should be curious, hunting for new ways of doing things. They can refine their own script, not relying on a stump speech that is provided to them and that they repeat over and over. They can evolve it as they learn, enriching their narrative with employees, suppliers, customers, and the board.
We suggest that leaders take the time to dwell on identity and purpose. If they skip over those things and focus only on operational factors, they leave a lot on the sidelines because people just aren’t going to be as excited and committed as they could be. This is particularly true in high-talent organizations, where people don’t necessarily listen to authority alone (the “do it because I said so” approach). What motivates them is having something that they believe in: an interpretation of who they are and why they’re here that resonates.
In any human endeavor, it isn’t just about a transaction but about depth of meaning. Reasons, values, mission, and how people see themselves—and why they do what they do—matter. We see this in our work with companies that could have gone down the path of making more money outside of their core mission, but they decided against it. And they’re thriving, whether it’s in entertainment or healthcare or other sectors.
Finally, the four W’s are a useful mnemonic device for CEOs to quickly pull up and ask, “Am I leading in a way that works well across all of these? Or am I at 10-10-40-40?” Obviously, if they’re at 50-50-0-0, that’s also a problem. The point is to recalibrate and put more time and energy where it’s needed while vowing not to skip over “who” and “why.” Balance is the key.
| | |
| Share Kurt Strovink's insights
|
|
|
|
|
| | | | | | | | | | | Alex Camp on creating healthy cultures | | | Most leaders understand the importance of culture in achieving organizational goals, but many are still unsure about how to make the best parts of their cultures stick. Rather than relying on the informal transfer of rules and rituals, they need to be more intentional about culture—here’s why. | | | | |
| |
This email contains information about McKinsey’s research, insights, services, or events. By opening our emails or clicking on links, you agree to our use of cookies and web tracking technology. For more information on how we use and protect your information, please review our privacy policy. |
|
You received this email because you subscribed to our McKinsey Quarterly alert list. |
|
|
Copyright © 2025 | McKinsey & Company, 3 World Trade Center, 175 Greenwich Street, New York, NY 10007 |
|
|
|
|
